Dow Drops 200 Points; Tech, Treasury Yields in Focus
Apple's losses weighed on the blue-chip index
The tech sector suffered another sell-off today, with Apple (AAPL) sending the Dow to its third straight loss. The blue-chip index ended more than 200 points in the red, despite a positive earnings reaction for General Electric (GE) stock. Elsewhere, the yield on the 10-year Treasury note surged to its highest point since 2014, while oil prices recovered from President DonaldTrump's tweet about the Organization of the Petroleum Exporting Countries (OPEC).
Continue reading for more on today's market, including:
The sentiment signal flashing for the first time in 2018.Call options surged on this FAANG stock ahead of earnings.Analyst: This social media stock could rally 37%.Plus, Twitter's big upgrade; the Dow stock pummeled with downgrades; and dismal guidance sent one footwear concern lower.TheDow Jones Industrial Average (DJI - 24,462.94) fell 202 points, or 0.8%, for the day. GE was the biggest of the six gainers, surging 3.9%, while Apple was the biggest of the losers, falling 4%. The Dow also fell back below the recently reclaimed 50-day moving average. The blue-chip index rose 0.4% for the week.
The S&P 500 Index (SPX - 2,670.14) lost 23 points, or 0.9%, while the tech-heavy Nasdaq Composite (IXIC - 7,146.13) shed 91.9 points, or 1.3%. The indexes finished the week up 0.5% and 0.6%, respectively.
The Cboe Volatility Index (VIX - 16.88) gained 0.9 point, or 5.8%, for the day, but lost 3% for the week.
5 Items on Our Radar Today
In this year's American Lung Association "State of the Air" report, Los Angeles has taken the No. 1 spot for worst city with ozone pollution in the U.S. Also making the list was New York City, although California ended up being host to eight of the top 10 most polluted cities. (MarketWatch) Several days after a Southwest Airlines' engine exploded and caused an emergency landing in Pennsylvania and one fatality, passengers on the flight reported that they had received a $5,000 check and $1,000 travel voucher from the company. Southwest later confirmed the contribution and apology letter, but did not disclose any further information. (CNBC) Why Twitter stock was upgraded ahead of earnings.The Dow stockshowered with downgrades.A footwear concern slammed by bad guidance.
Data courtesy of Trade-Alert
Gold Falls for a Second Session
Oil managed to recover from its early Trump/OPEC-tweet plunge, finishing higher for the day and week. May-dated crude ended up 9 cents, or 0.1%, to finish at $68.38 per barrel for the day, and 1.5% higher for the week.
A higher greenback continued to weigh heavy on gold. June-dated futures finished down $10.50, or 0.8%, to settle at $1,338.30 per ounce for the day, and down 0.7% for the week.